Riaz Haq writes this data-driven blog to provide information, express his opinions and make comments on many topics. Subjects include personal activities, education, South Asia, South Asian community, regional and international affairs and US politics to financial markets. For investors interested in South Asia, Riaz has another blog called South Asia Investor at http://www.southasiainvestor.com and a YouTube video channel https://www.youtube.com/channel/UCkrIDyFbC9N9evXYb9cA_gQ

Thursday, July 14, 2011

Pakistan Building 1000 MW Wind Farms

Pakistan is prepared to approve a Norwegian company’s plan to build a 150-megawatt wind farm, the first part of a $1 billion plan that could boost by a third the announced capacity for clean-energy power plants, according to Bloomberg News. Joar Viken, the CEO of NBT, a Norwegian company focused on building wind farms in China, Norway and Pakistan, said he plans to tap financing for his project from one of three Chinese turbine makers that his company is talking with about supplying machinery for the facilities in Pakistan.

Wind Farm at Jhimpir, Sindh, Pakistan

Pakistan has about 1000 MW of wind power plants at various stages of planning and construction, and another 498.5 megawatts of wind programs announced, mostly in Jhimpir, Gharo, Keti Bandar and Port Qasim wind corridors along the Arabian Sea coast in Sindh. The output from these plants will provide much-needed additional power for Pakistan, improve the country’s energy security, and lower reliance on natural gas and furnace oil. It is estimated that the Gharo to Keti Bandar corridor alone could produce between 40,000 and 50,000 megawatts of electricity, says Ms. Miriam Katz of Environmental Peace Review who has studied and written about alternative energy potential in South Asia.

Pakistan is fortunate to have something many other countries do not, which are high wind speeds near major population centers, according to data published by Ms. Katz .

Near Islamabad, the wind speed is anywhere from 6.2 to 7.4 meters per second (between 13.8 and 16.5 miles per hour). Near Karachi, the range is between 6.2 and 6.9 (between 13.8 and 15.4 miles per hour).

In Balochistan and Sindh provinces, sufficient wind exists to power every coastal village in the country. There also exists a corridor between Gharo and Keti Bandar that alone could produce between 40,000 and 50,000 megawatts of electricity, says Ms. Katz who has studied and written about alternative energy potential in South Asia. Given this surplus potential, Pakistan has much to offer Asia with regards to wind energy. In recent years, the government has completed several projects to demonstrate that wind energy is viable in the country. In Mirpur Sakro, 85 micro turbines have been installed to power 356 homes. In Kund Malir, 40 turbines have been installed, which power 111 homes. The Alternative Energy Development Board (AEDB) has also acquired 18,000 acres for building wind farms.

In addition to high wind speeds near major centers as well as the Gharo and Keti Bandar corridor, Pakistan is also very fortunate to have many rivers and lakes. Wind turbines that are situated in or near water enjoy an uninterrupted flow of wind, which virtually guarantees that power will be available all the time. Within towns and cities, wind speeds can often change quickly due to the presence of buildings and other structures, which can damage wind turbines. In addition, many people do not wish for turbines to be sited near cities because of noise, though these problems are often exaggerated.

Pakistan has a goal to generate at least 5 percent of its electricity needs from renewable sources by 2030, according to Pakistan Alternative Energy Development Board (AEDB). Last year, 53 percent came from natural gas, 30 percent from oil and the rest from coal, nuclear and hydropower, according to data from BP Plc. The London-based oil company didn’t measure any sources of renewable energy there.

41 comments:

Ending a federal tax break for wind farms in India, the largest market for turbines after China and the U.S., would cause a $540 million drop in demand just as suppliers including General Electric Co. (GE) expand local capacity, according to Bloomberg News:

Wind park installations may fall 15 percent in the financial year starting April 2012 from the 2,600 megawatts projected for this year should the benefit be discontinued, said Ashish Sethia, lead analyst with Bloomberg New Energy Finance in New Delhi.

The government wants to axe an accounting rule next year that encouraged companies to erect most of India’s 14,157 megawatts in wind projects as a way of cutting taxes rather than generating power. It favors a less-generous subsidy that companies have been slow to adopt.

“We could see some disturbance in demand and some filtering out of smaller players,” said Mahesh Makhija, director of renewables at the local unit of CLP Holdings Ltd. (2), Hong Kong’s biggest power supplier and India’s largest developer of wind farms. A 400-megawatt slump in demand could cut investment by 24 billion rupees ($540 million) based on current construction costs.---------A shakeout may intensify turbine suppliers’ push for new business as wind installations peak in developed markets in the U.S. and Europe. Turbine suppliers in India jumped by a third to 20 last year as the country installed about $3 billion of wind capacity, the most after China and the U.S.Surpassed Wind Targets

While global wind farm installations declined for the first time in almost two decades in 2010, India overshot the government’s target by 18 percent.

Anticipating that trend to continue, Siemens AG (SIE) plans its first 500-megawatt wind turbine plant in India by 2013, Gamesa Corporacion Tecnologica SA aims to complete three facilities by 2012 and GE opened a turbine assembly plant in India this year.

The alternative subsidy favored by the government “will shift the market focus from investment incentives to production incentive, which is very relevant in the backdrop of energy shortfalls in the country today,” GE said.

“This will attract new developers” that will focus on making power more available more efficiently, it said in an e- mailed response to questions.

Suzlon Energy Ltd. (SUEL), India’s dominant supplier, said in an e-mail that it welcomed “this shift across investor groups” who are now looking with a long-term view that would mean larger- sized projects, lower transaction costs and more evenly distributed demand throughout the year for the industry.

Enercon India Ltd., India’s second-biggest turbine supplier, declined to comment on whether the end of the tax break could impact demand. Suzlon shares fell as much as 4.4 percent, the most in three weeks, and closed down 2.7 percent in Mumbai trading. Suzlon’s stock has dropped 10 percent this year.Suzlon, Gamesa Competition

Suzlon faces increasing competition from new entrants. Its share of new wind installations in India dropped below 50 percent for the first time last year while Spain’s Gamesa topped Vestas Wind Systems A/S to emerge as the nation’s third-biggest wind supplier after just 18 months in the market.

The Generation-Based Incentive pays wind farms 500 rupees for every megawatt-hour fed to the grid.

Wind developers are pressing to double that to 1,000 rupees and remove an overall cap of 6.2 million rupees per megawatt to make the subsidy as lucrative as accelerated depreciation, said K. Kasthoorirangian, chairman of the Indian Wind Power Association.

Only 543 megawatts of wind projects have signed up for the Generation-Based Incentive since its introduction in December 2009, which is available for as much as 4,000 megawatts of projects, according to ministry data....

CapAsia, a joint venture private equity fund manager between CIMB Group and Standard Bank Group, has announced a $20.5 million investment into two wind parks in Pakistan. The capital will be deployed from its Islamic Infrastructure Fund (IIF). The assets are 50MW each wind parks currently in development in the Sidh province of Southeast Pakistan, being built by domestic corporates Fauji Foundation, Fauji Fertilizer Bin Qasim and the Tapal Group.

Construction will begin at the end of 2011, with a completion date targeted in March 2013. The project is part of the government's push for renewable energy investment, first announced in 2006, but only taken up in earnest in the past six months.

In 2007, former President of Pakistan, Pervez Musharraf, said he hoped alternative energy could help increase power generation by 10-12% per annum in a country where many of the 150 million people still live off the grid.

Mirza Arshad Ali Beg, President of the Pakistan Environmental Assessment Association previously said in an interview with media that he worried about the government's policy because it could not be accomplished without the help of foreign capital and goods. "For solar power we will depend on imported photovoltaic cells, for windmills we shall have to depend on an investor to bring in the necessary technology, equipment and parts, and we will see similar scenarios with biogas or energy from solid waste, or even nuclear energy."

He appears to be right. In November of 2010, Pakistan and the United States signed a wind power generation project agreement slated to be completed in 2012, which would cost $375 million for a wind farm capable of producing 150MW of electricity. It was the first of its kind, using a public-private partnership model often employed for infrastructure projects in countries like India and China. And, last month the ADB agreed to lend up to $200 million to help fund several wind farm projects that would produce 250MW per annum of power.

The potential for the use of alternative technologies to produce energy in Pakistan has never been fully explored, but the regions of Gharo and Jhimpir in the Sindh Province have better wind resources than other areas, with wind speeds averaging nearly 7 meters per second.

The IIF was developed jointly by the Islamic Development Bank (IDB) and the Asian Development Bank (ADB), and now counts CapAsia as fund manager.

Very timely article. I believe Pakistan will take advantage of all new innovations and inventions in wind power technology. The fan blades are being made such that they will operate equally in all wind directions and not much noise. Quite a few windmill projects are in progress near Phoenix.

There are also a few solar projects in progress here. In Phoenix, some buildings have solar projects that provide power and hot water for the use in offices. This can be done in Pakistan too because majority areas have hot sun which shines most of the days in a year. I have written many letters to Sibte Jafri because he owns a consulting company. They are doing some solar projects but not on the scale that solar generation is being adopted here. A big solar plant near Phoenix is to be built soon.

I suggest you write a similar article on solar power. In Pakistan it can be installed on existing buildings.

We have heard so many stories about alternate energy but nothing has materialized yet. Pakistan has enough coal to power its infrastructure for the next 40 years. Don’t worry, the energy generated by these wind farms would only be sufficient for the power sucking pockets of the Presidency and the PM. Till the time this government stays, nothing good will come out or will happen in Pakistan....

Koreans plan to build 2000 MW wind power plants in Pakistan, according to Ewind:

The delegation made commitment to generate at least 200 MW from a wind farm in next two years. Hyundai Corp also showed intention of his company to put up wind turbines plant in Pakistan.

Wind energy in Pakistan - KOSPO keen to set up 2000 MW wind powerA Korean power company has indicated interest to set up wind power plants in the wind corridor of Sindh to generate 2000 megawatts in the next five years. This willingness was shown by the leader of delegation of Korea Southern Power Company Ltd (KOSPO), Park Seog-Ho while talking to the Advisor to Sindh CM on Investment Zubair Motiwala at his office. General Manager Hyundai Corporation, Jin Han Chung and Secretary SBI Mohammad Younus Dagha were also present on the occasion.

The delegation made commitment to generate at least 200 MW from a wind farm in next two years. They said that KOSPO was producing 9,238 MW of power in Korea with an investment of $ 5 billion. KOSPO is also producing electricity in UAE, Jordan and Bulgaria. In Korea, they are generating power from coal, LNG, oil and wind power.

The representative of Hyundai Corp also showed intention of his company to put up wind turbines plant in Pakistan to cater to the need of wind turbines in other wind energy projects. Hyundai is manufacturing wind turbine of 2 MW each.

Motiwala thanked the delegation and assured his full cooperation in identifying a suitable land in wind corridor for the wind farm project in accordance with the present elected government's investment friendly policy.

It was agreed that Sindh Board of Investment will formulate a schedule for signing of memorandum of understanding for this project during the visit of Sindh Chief Minister to South Korea from May 17 to 28.

First wind farm to start producing power by year-end

Around 50 to 70 Megawatts of environmentally clean, wind energy will be added to the national grid by the end of the current year with the start of production from the Fauji Fertilizer Company Energy Limited’s (FFCEL) wind farm, currently under construction at Jhimpir.

Officials at the Alternative Energy Development Board (AEDB) said that the first ever, wind power..

Caltech researchers say the power output of wind-farms can be increased by an order of magnitude - at least tenfold - simply by optimizing the placement of vertical wind turbines on a given plot of land. Details of the experimental wind-farm, located in northern Los Angeles County, appear in the Journal of Renewable and Sustainable Energy.

The experimental wind-farm houses two-dozen 1.2-meter-wide vertical-axis wind turbines (VAWTs). Vertical turbines that have rotors and look like eggbeaters sticking out of the ground. Each turbine is 10 meters tall.

Caltech's John Dabiri, who leads the research, said that despite improvements in the design of conventional propeller-type wind turbines, wind-farms remain inefficient. In such farms, the individual turbines have to be spaced far apart so they don't interfere aerodynamically with neighboring turbines, with the result that "much of the wind energy that enters a wind-farm is never tapped," says Dabiri.

Designers compensate for the energy loss by making bigger blades and taller towers, to suck up more of the available wind and at heights where gusts are more powerful. "But this brings other challenges," Dabiri says, such as higher costs, more complex engineering problems and a larger environmental impact.

The solution, according to Dabiri, is to focus instead on the design of the wind-farm itself, to maximize its energy-collecting efficiency at heights closer to the ground. While winds blow far less energetically at, say, 30 feet off the ground than at 100 feet, "the global wind power available 30 feet off the ground is greater than the world's electricity usage, several times over," he says. "The key is to ensure they're the right turbines, arranged in the right way."

VAWTs provide an important advantage in that they can be positioned very close to one another. This lets them capture nearly all of the energy of the blowing wind and even wind energy above the farm. Having every turbine turn in the opposite direction of its neighbors, the researchers found, also increases their efficiency, perhaps because the opposing spins decrease the drag on each turbine, allowing it to spin faster. Dabiri got the idea for using this type of constructive interference from his studies of schooling fish.

Dabiri measured the rotational speed and power generated by each of the six turbines when placed in a number of different configurations. One turbine was kept in a fixed position for every configuration; the others were on portable footings that allowed them to be shifted around.

The tests showed that an arrangement in which all of the turbines in an array were spaced four turbine diameters apart (roughly 5 meters) completely eliminated the aerodynamic interference between neighboring turbines. By comparison, removing the aerodynamic interference between propeller-style wind turbines would require spacing them about 20 diameters apart, which means a distance of more than one mile between the largest wind turbines now in use.

Here are a few excerpts of an interesting paper on solar energy published in Scientific American:

The sun strikes every square meter of our planet with more than 1,360 watts of power. Half of that energy is absorbed by the atmosphere or reflected back into space. 700 watts of power, on average, reaches Earth’s surface. Summed across the half of the Earth that the sun is shining on, that is 89 petawatts of power. By comparison, all of human civilization uses around 15 terrawatts of power, or one six-thousandth as much. In 14 and a half seconds, the sun provides as much energy to Earth as humanity uses in a day.

The numbers are staggering and surprising. In 88 minutes, the sun provides 470 exajoules of energy, as much energy as humanity consumes in a year. In 112 hours – less than five days – it provides 36 zettajoules of energy – as much energy as is contained in all proven reserves of oil, coal, and natural gas on this planet.

If humanity could capture one tenth of one percent of the solar energy striking the earth – one part in one thousand - we would have access to six times as much energy as we consume in all forms today, with almost no greenhouse gas emissions. At the current rate of energy consumption increase – about 1 percent per year – we will not be using that much energy for another 180 years.-----------The cost of solar, in the average location in the U.S., will cross the current average retail electricity price of 12 cents per kilowatt hour in around 2020, or 9 years from now. In fact, given that retail electricity prices are currently rising by a few percent per year, prices will probably cross earlier, around 2018 for the country as a whole, and as early as 2015 for the sunniest parts of America.

10 years later, in 2030, solar electricity is likely to cost half what coal electricity does today. Solar capacity is being built out at an exponential pace already. When the prices become so much more favorable than those of alternate energy sources, that pace will only accelerate.

Pakistan set to announce incentives for renewable energy investors, according to Bloomberg:

Pakistan will announce its first tariff policy for clean-energy producers next month, offering premium payment rates as it seeks to attract investors to help overcome power shortfalls.

The country has given approval to 30 companies to install wind plants with an estimated capacity of 1,500 megawatts, said Arif Alauddin, chief executive of the state-run Alternative Energy Development Board.

“There will be a feed-in tariff based on a cost-plus approach,” he said in an Aug. 23 interview at his office in Islamabad. The tariff policy “offers an extremely good rate of return,” with most of the risks covered by the government, he said.

Developers may be able to get as much 18 percent returns on their investment, he said, declining to say what the feed-in tariff rates will be.

Pakistan is seeking to diversify its energy supplies away from oil and gas and boost electricity production. The nation has a power deficit of 3 to 4 gigawatts a day, or more than the output of two nuclear reactors, triggering 12-hour blackouts that cause riots and close factories in cities nationwide.Financial Closure

The feed-in tariffs will speed the development of projects in the pipeline, Alauddin said. Companies that are close to achieving financial close include Zorlu Enerji Elektrik Uretim AS (ZOREN), a Turkish power utility, China International Water & Electric Corp. and Fauji Foundation’s two plants in Sindh province, he said.

Pakistan has almost 1 gigawatt of wind-power projects under construction or with financing agreed upon and 498.5 megawatts more of plants announced, according to Bloomberg New Energy Finance data. Only 6 megawatts of wind-energy facilities are operating in the nation.

Commercially exploitable wind exists in many parts of Pakistan, especially in Sindh and the coastal area of Balochistan. Zorlu Enerji’s project is Pakistan’s first privately owned and financed wind farm.

Pakistan is the ninth-poorest country in the Asia-Pacific region with a 2009 gross domestic product per capita of $2,609, according to Bloomberg data. Its fight with Taliban militants in the tribal areas bordering Afghanistan, a debt pileup among energy companies and unwillingness of banks to finance power projects are creating some “barriers” for potential investors, Alauddin said.

“The engineering, procurement and construction cost and the turbine cost that are offered to Pakistani investors appear to be higher than what is being offered elsewhere in the world, maybe 20 percent to 25 percent higher,” he said.

Pakistan is seeking to derive at least 5 percent of its energy from renewable sources by 2030, the development board said in March. Last year, 53 percent came from natural gas, 30 percent from oil and the rest from coal, nuclear and hydropower, according to data from BP Plc. The London-based oil company didn’t measure the sources of renewable energy there.

Asian Development Bank (ADB) is considering various options in a positive direction to finance multi-billion dollars Diamer Basha dam project.

This was stated by ADB Director General Jaun Miranda, while talking to the Federal Minister for Water and Power, Syed Naveed Qamar here today. A three-member ADB delegation called on him here on Friday.

The ADB also agreed to provide counter guarantees to the investors for investing in the wind power generation projects in Pakistan, he assured the meeting. The wind power generation projects will generate cheaper electricity in the country. Miranda said that the bank is already providing financial assistance for power distribution enhancement project and will continue its support for the project in order to improve the energy efficiency. Transmission and distribution system and energy loss reduction programme are also being funded by ADB for all distribution companies (Discos). He said that the bank is ready to expand its funding for replacement of all obsolete distribution network. The bank will provide financial assistance for free distribution of 30 million energy saver bulbs in the country. These energy savers will help reducing peak hours demand over 1000 Megawatts. He also said that the bank would fully support the energy conservation initiatives of the government.

The Minister for Water and Power appreciated the role of the ADB for improvement in energy sector and said that the support of the bank for energy efficiency programme will help save energy and reduction in the transmission and distribution losses. The Minister also thanked for providing counter guarantee facility for wind power projects. The Minister also briefed the delegation regarding new energy sector improvement initiatives like operation and maintenance contract of generation companies through private sector and conversion of existing independent power producers to cheaper fuels. He also asked the ADB to finance mega-water and power sector projects to end the crises in these sectors.

The ADB director also discussed current status of power sector reforms, energy efficiency programmes, central power purchasing agency, independence of Discos. The Minister also assured that all efforts would be made to timely complete the existing projects being funded by ADB.

ISLAMABAD, Oct. 08 -- In order to attract investment in the energy sector, the National Electric Power Regulatory Authority (Nepra) has set upfront tariff for wind power projects along with cutting down paper work.

Upfront tariff of Rs12.61 per unit has been determined for wind power plants that will be set up with a loan from Pakistani banks in rupee and Rs17.28 per unit for plants that will use loans in dollar from foreign banks.

Upfront tariff is the price Central Power Purchasing Agency (CPPA) will pay to purchase electricity from wind power plants.

This upfront tariff will be applicable to those wind power projects of 1,500MW that would be commissioned first.

This incentive will also be given to those investors who will be able to meet all conditions of setting up wind power plants till December 2012 and remain effective for 20 years.

The decision will stop the time consuming process of wind power companies going to Nepra for tariff determination, an official said.

The government plans to generate 1,500MW through wind power by the end of next year.

Independent power producers have also asked for an upfront tariff as currently each power producer is given a different rate.

Under upfront tariff mechanism, the role of Nepra has been minimised. The period of setting up a wind power plant will also be reduced from existing three to two years.

Wind power projects of at least 1,000MW are expected to be commissioned in Sindh with projected investment of $2.5 billion.

Gharo wind corridor in Hyderabad has the potential to generate 50,000MW, according to Alternative Energy Development Board data. Around 30,000 acres of land has been allocated for wind power plants in the area.

At present, nine companies are working on setting up 50MW wind power plant each to generate 450MW with financial close expected by the end of 2011.

The government also hopes that Norwegian company NBT will set up plants to generate 250MW to 500MW in Sindh after upfront tariff has been announced. The company has also signed an agreement with Shaheed Zulfikar Ali Bhutto Institute of Science and Technology (SZABIST) for a 50MW wind power plan

Pakistan to produce 500MW wind power by end of 2012, reports Daily Times:

KARACHI: President Asif Ali Zardari said by end of year 2012, Pakistan would be able to produce 500 MW of wind power.

During briefing by Alternate Energy Development Board, Board of Revenue Sindh and Sindh Investment Board on wind power projects he called for periodic reports to be submitted to the Presidency indicating progress made and bottlenecks encountered.

Three wind power projects of 50 MW each would start producing power within a year and work on ten projects of 50MW each would start early next year. Another five projects were at initial stage of financial close in the year 2012.

President was informed all companies involved with wind power projects have suggested announcement of upfront tariff to save at least six months project time, which is spent in tariff determination by concerned authority.

Zardari asked NEPRA to examine suggestion and expressed hope NEPRA would soon arrive at a consensus upfront tariff regime for all projects till the capacity to produce 2000 MW is achieved.

However, option of opting for normal tariff determination system would remain open for companies opting not to go for upfront tariff. He said incentives would be given to companies that would be able to start their power production within one year.

ISLAMABAD, Nov. 12 -- The Asian Development Bank has agreed to provide about $98 million for three wind energy projects to be set up by the private sector in Kutti Kun area near Karachi port.

The projects with an estimated generation capacity of 150MW involving construction, erection and operation of wind mills would sell electricity to the national grid under a 20-year contract, officials told media on Wednesday.

The sources said that the projects were scheduled to be approved by the ADB's executive board on Dec 1 and Dec 8.

The ADB will also provide a loan of $31.50 million to the government for a renewable energy sector investment programme, targeting to cover by 2015 3.5 per cent of power generation.

The bank will also provide technical assistance to Pakistan for increased energy security.

The sources said that in view of the chronic energy shortages, the government was undertaking a multi-pronged strategy, including a programme that will replace inefficient thermal generation stations with larger and efficient facilities.

Under the energy efficiency development project for which the government is seeking a loan of $370 million, thermal power generation facilities to be replaced or rehabilitated will be identified and prioritised as suggested in a diagnostic study completed by the Agence Francaise de Development of France

HONG KONG, Dec. 21 /PR Newswire Asia/ -- Xinjiang Goldwind Science & Technology Co., Ltd. ('Goldwind', SZ Stock Code: 002202, HK Stock Code: 2208), announced that it has entered into an agreement with China Three Gorges Corporation ('Three Gorges') to provide Three Gorges' first wind power project in Pakistan with 33 units of GW77/1500 high-temperature Permanent Magnet Direct Drive (PMDD) turbines. The agreement also includes two years of operations and maintenance service.

This is Goldwind's first order from Pakistan and South Asia and the first joint overseas project for Goldwind and Three Gorges, which marks another achievement in Goldwind's global expansion. So far, Goldwind has expanded its global footprint with wind power projects on six continents.

The project is located in Jhimpir, Sindh, Pakistan, which has varied weather with an average temperature of 27 degrees Celsius. The district is semi-arid and dusty. To withstand this environment, Goldwind's R&D team has designed the GW77/1500 high-temperature unit for use in a temperature range of -20 to 45 degrees Celsius with a sealed, dust-proof design.

During the signing ceremony, Bi Yaxiong, Deputy General Manager of Three Gorges, said, 'This is Three Gorges' first overseas wind power project. The reason why we have chosen Goldwind as the turbine provider and maintenance service provider is that we strongly believe in Goldwind's R&D capabilities as well as product and service quality. Moreover, Goldwind has achieved remarkable results in its overseas expansion in recent years and has a wealth of experience in project development and turbine maintenance. The project will establish a strong framework for our future collaboration.'

Wu Gang, Chairman and Chief Executive Officer of Goldwind, said, 'This project is our first in Pakistan and the South Asia region. It represents a significant corporate milestone and will provide an example for our future development. We must leverage our global project management experience and adhere to the highest standards of project execution so that this wind power project is a success for all stakeholders.'

Goldwind is currently constructing the Shady Oaks project in Illinois, the Adama project in Ethiopia, and the Mortons Lane project in Australia. Turbines for the Villonaco project in Ecuador, which Goldwind announced in August, are in transit. The Company also signed a contract for a project in Chile earlier this month.

Goldwind is pursuing a strategy of international expansion through localization. To date, Goldwind has set up more than 10 branches in North and South America, Australia, Europe and Africa, expanding its global footprint.

Goldwind is the world's largest PMDD wind turbine manufacturer and a leading comprehensive wind power solutions provider. Goldwind was among the first in China to provide one-stop wind power services and wind farm investment and operation management. As Goldwind has expanded globally, it has extended its comprehensive wind power solutions to overseas markets.

Vestas has received an order for a total capacity of 50.4 MW, consisting of 28 units of the V90-1.8 MW wind turbines for a wind farm project in Nooriabad in the Jimphir region of Pakistan, according to Reve:

The contract comprises supply of the wind turbines, supervision of the installation on site, commissioning as well as a VestasOnline® Business SCADA system and a two-year service and availability agreement. Delivery of the wind turbines is scheduled to start in the first half of 2012 and the wind power project is expected to be completed by the end of 2012.

The order has been placed by Zorlu Energy Pakistan Ltd., which is a 100 per cent owned subsidiary of the Turkish Zorlu Enerji Electricity Generation Inc. In 2006, the company signed an agreement with the Alternative Energy Development Board (AEDB) of the Government of Pakistan to build the first wind farm in Pakistan for a total capacity of 56.4 MW. The first phase of the wind power project comprising 6 MW has been in operation since 2009 and the second phase comprising the 50.4 MW will be delivered by Vestas.

Murat Sungur Bursa, CEO of Zorlu Energy Group declares: “We take pride in building the first wind power plant in Pakistan, which will lead the wind industry in the country and, hopefully, will motivate other investors to seek opportunities in the region. In this wind farm, Vestas is a very strong technology partner offering us reliable and efficient products. We trust that they will deliver the best solutions with high-quality service and professional sector experience both locally and globally. Our partnership on this particular project will have a positive impact within the region in terms of social and economic welfare and it will strengthen our collaboration.”

“We are pleased to have been chosen as preferred partner for this project by Zorlu Enerji, one of the largest energy companies in Turkey. They have shown their trust in our capabilities and our team to support them in this new challenging project in Pakistan ensuring business case certainty and a high return on the investment,” says Olcayto Yigit, Director, sales region Turkey, Vestas Türkiye.

Juan Araluce, President, Vestas Mediterranean, concludes: “We are extremely proud to start our operations in a new market, such as Pakistan, through the development of this important project together with the Zorlu Energy Group. I am very confident that this project will pave the way for an even stronger relationship between both companies.”

Sean Sutton, President, Vestas Asia Pacific, concludes: “We are glad to be part of this prestigious project in Pakistan. We believe that this milestone puts Vestas in an advantageous position to encourage and support the development of wind power in this country going forward.”

Zorlu Energy Pakistan’s 56.4 MW wind power plant will have an estimated annual production of 159,000 MWh per year, which corresponds to the residential electricity consumption of approx. 350,000 persons in Pakistan. Moreover, the wind farm will save the environment from more than 90,000 tons of CO2 emissions on an annual basis.

As part of its short-term policy, the Government of Pakistan introduced in 2006 a Policy for Development of Renewable Energy for Power Generation with the aim of utilizing the unexploited wind resources in the country as well as of attracting new investments to Pakistan. This cooperation between Zorlu Enerji and Vestas will be a landmark to pave the way for developing wind energy in the country.

Pakistan wants to be leading producer of wind energy, says a story in Express Tribune:

Despite being a late entrant to the wind energy race, Pakistan is soon going to join leading wind energy producers because of growing interest of investors and forward-looking renewable energy policies of the government, says Fauji Fertilizer Company Energy Limited Project Director Brigadier (R) Tariq Izaz.

He was speaking on the sidelines of a briefing arranged for select media at the company site at Jhampir, District Thatta, on Thursday.

“With eight projects of wind energy in progress, the country is all set to take off in this area,” said Izaz. “This will not only reduce electricity shortages, but will also help ease the burden of oil imports that cost over $12 billion annually.”

Fauji Fertilizer Company Energy Limited (FFCEL) will start producing electricity on commercial basis from November this year, which will be the first addition of wind power to the national grid. The company initially plans to produce 50 megawatts and later expand the capacity to 250 megawatts.

Izaz said the future of wind power was extremely bright because of the wind corridors in Sindh. To substantiate his point, he said, the fair category of wind speed in most parts of the world is between 6.2 and 6.9 metres per second (m/s). There are a few places that come under the good category where wind speed is between 7 and 7.3 m/s.

Fortunately, the wind speed in the Sindh corridor is stronger than the above two categories and it stands in the excellent category that is between 7.5 and 7.7 m/s.

FFCEL, a subsidiary of Fauji Fertilizer Company, will start trial energy production from June, which will be provided to the national grid free of charge by the time commercial production starts in November.

According to a USAID report, Pakistan has the potential of producing 150,000 megawatts of wind energy, of which only the Sindh corridor can produce 40,000 megawatts. Jhampir, Gharo and Keti Bander are the three areas where Sindh has a huge potential for wind energy.

Fauji Fertilizer has acquired 1,283 acres of land for the project and invested $135 million since its start in March 2007. At present, the company is in the process of installing 33 wind turbines.

Izaz claimed that the project had achieved 60% completion target. Seventeen sets of wind turbines and blades have already arrived, while remaining 16 turbines and blades are scheduled to reach Karachi in March.

He said seven wind turbines had already been installed and the remaining 25 towers were in different stages of manufacturing at the Karachi Manufacturing Works at Bin Qasim.

Keeping in view the country’s energy demand, the government has decided to increase the share of renewable sources in the overall energy mix. The renewable energy policy was unveiled in December 2006 and the Alternative Energy Development Board (AEDB) has issued 97 letters of interest for wind energy – FFC got 24th for 50 megawatts and 96th for an additional 100 megawatts. AEDB also allotted land to 23 investors – 12 in Gharo and 11 in Jhampir.

Pakistan’s first 50-megawatt wind energy project at Jhimpir in Thatta district will start its trial electricity production in June, which will be provided to the national grid free till the start of commercial operation in November.

This was stated by Tariq Izaz, project director of the FFC Energy Limited (FFCEL), on Thursday while briefing the media on the location, where the project is in its final stage of completion.

Pakistan had the potential to produce up to 346 gigawatts of electricity through wind energy alone provided we utilised the potential and more companies start building wind energy projects in the country, he said.

Mr Izaz said if Pakistan produced just 10 per cent of the available wind energy potential, that is 34GW, in the next 15-20 years, it would be well on the path to energy security and prosperity.

The company has acquired 1,283 acres for the project and spent about $135 million on the project. The FFCEL will subsequently increase the energy production capacity through wind power projects to 250MW. Currently the company is installing 33 wind turbines.

He claimed that the project had achieved 60pc completion target. Seventeen sets of wind turbines and blades had already arrived here, and the remaining 16 turbines and blades were scheduled to reach Karachi in March. Seven wind turbines had been installed and 25 towers were in different stages of manufacturing at the Karachi Manufacturing Works, Bin Qasim.

Concrete pouring of 23 turbine foundations had been completed and civil works were in different stages on the remaining 10 foundations, he said.

Besides, he said, the construction of three kilometres of access road, 18km internal roads, culverts over the gas line, and temporary site facilities had been completed.

JEDDAH, 27 Jumada Al-Thani/19 May (IINA)- The Islamic Development Bank (IDB) in partnership with the Asian Development Bank (ADB) has signed a US$133 million agreement for long-term lease finance (Ijara) facility for the development of two wind power projects in the Sindh province of Pakistan.

A consortium of local financial institutions comprising National Bank of Pakistan, Faysal Bank, United Bank Limited, Allied Bank and Meezan Bank are also participating in the transaction. Under an innovative risk participation structure between IDB and ADB, the project companies were able to raise 100% Islamic financing for these important infrastructure projects.

The projects are sponsored by the Fauji Foundation and Tapal Group in Pakistan. Once complete, the projects shall add generation capacity of 100MW to the national grid under long term Energy Purchase Agreement with the National Transmission and Distribution Company (NTDC) of Pakistan and thereby make a significant contribution to improving the power supply situation in the country.

These projects are the first generation wind energy projects that Pakistan has embarked on. “Pakistan has enormous potential to tap wind energy, and successful implementation of these projects is expected to bring in further investment in developing more wind projects in Pakistan.” said Walid Abdelwahab, Director, Infrastructure Dept at IDB.

IDB has been a long term development partner of Pakistan and has been involved in both public and private sector projects. Since its inception, IDB’s cumulative operations in Pakistan have reached to almost US$7.5 billion.

Chinese oil and gas company United Energy Group Ltd (0467.HK) said on Wednesday it plans to invest $3 billion in a wind farm project in energy-starved Pakistan and is in talks to buy equipment from mainland suppliers.

United Energy, which paid BP (BP.L) $775 million for oil and gas assets in Pakistan in 2010, said it plans to construct the wind farm in several phases. It did not disclose the targeted total capacity for the project or provide a timeframe.

The company said, however, it had already obtained approval from the Pakistan government to construct a wind power project with a capacity of 500 megawatts.

Pakistan, which suffers chronic shortages of electricity, is offering clean energy producers higher rates for renewable power as it seeks to boost production, while diversifying energy supply away from oil and gas.

The major suppliers of wind power equipment in China are Sinovel (601558.SS) and Xinjiang Goldwind Science and Technology (002202.SZ)(2208.HK).

Board of Investment (BOI), Government of Pakistan and Concentrix Solar Company of Korea Wednesday signed a Memorandum of Understanding (MoU) to construct a 300 MW Solar Energy Plant near Quetta, Balochistan.

The MoU was signed by M. Saleem Mandviwala, Chairman Board of Investment from Pakistan side and Dr. Choi Moon-Sok, Chief Executive Officer Concentrix Solar Company. The signing ceremony was held at the PM’s Secretariat which was witnessed by Prime Minister Raja Pervaiz Ahsraf, Federal Ministers and Chief Ministers of Balochistan and Sindh.

Concentrix is a subsidiary of German Company and is keen to make investment in the energy sector in Pakistan. Dr. Choi Moon-Sok met the PM yesterday and apprised him of his company’s plans.

Here's an example in Express Tribune of what the Pak military is doing to alleviate the energy crisis and boost the economy:

ISLAMABAD: Subsidiaries of Fauji Foundation – Foundation Wind Energy-I Limited and Foundation Wind Energy-II Limited – are making an investment of $251 million in setting up two wind power projects of 50 megawatts each in Gharo, Sindh.

In this connection, the two companies and the government signed an implementation agreement here on Tuesday. The accord was inked by Brigadier (Retired) Dr Gulfam Alam, Project Director of the two projects and Arif Alauddin, Chief Executive Officer of Alternative Energy Development Board (AEDB), on behalf of the government.

Speaking on the occasion, Managing Director of the two companies, Lieutenant General (retd) Muhammad Mustafa Khan said the Asian Development Bank (ADB), Islamic Development Bank (IDB) and a syndicate of local banks were providing most of the finance for the wind farms.

Debt financing, which is 75% of the project cost, is Shariah-complaint and is the first of its kind in Pakistan. The remaining 25% of the cost is being financed via equity investment, arranged by the Fauji Foundation group, CapAsia Singapore and Tapal Group Karachi.

ADB and IDB will provide $124 million and the consortium of local banks will arrange $63 million.

Khan said he was targeting to enter into an energy purchase agreement for the two projects this month and achieve financial close immediately after that. Both projects are expected to start commercial production in the second quarter of 2014.

Fauji Fertiliser Company Wind Energy Limited (FFCEL) has already established a 50MW wind power plant, which would start operation this month.

AEDB CEO Arif Alauddin commented that the two wind projects of Fauji Foundation subsidiaries were trendsetters in many ways and opening doors to investment in the Gharo Keti Bandar wind corridor.

He said 45 wind power projects of around 3,200MW were under process, adding the Sindh government had leased around 26,000 acres of land to AEDB for 18 projects with a cumulative capacity of 906 megawatts, which were at different stages of development.

Of these, projects having combined capacity of 106MW are ready for commencement of operation and projects producing a further 100MW will achieve financial close shortly.

“Wind projects being installed by Fauji Foundation will cost less than Rs10 per unit,” he said, adding wind and solar projects would have their impact on the energy mix and reduce circular debt.

Federal Minister for Water and Power Ch Ahmed Mukhtar has said that 45 Wind Power Projects of around 3,200 megawatts (MW) capacity are under completion process, out of which some are ready for commercial operation.

Among them wind projects worth 106 MW are ready for commercial operation, while another 150 MW projects are under construction. The next year will see at least 10 more projects – an investment of over $2 billion, the minister said while addressing as chief guest in the launching ceremony of Commemorative Postal Stamp on inauguration of Pakistan’s first 50 MW wind energy project by Fauji Fertilizer Company (FFC) on Wednesday.

He said that commencement of commercial operation of FFC Wind Farm Project is the beginning of exploiting the wind potential of renowned Gharo-Keti Bandar Wind Corridor- an area that alone offers power generation potential of 50,000 MW. I feel exalted that many more wind power projects are in pipeline and would commence their commercial operations one after another in the coming months.----

Alternative Energy Development Board (AEDB) CEO Arif Allauddin in his welcome address said that the country would see more new projects in the alternative energy sector. Without taking away any credit from FFC, I wish to quickly recognise a number of other organisations and individuals without which this historic achievement would not have been possible – even for the competent team of FFC.

Allauddin said just like 8,000 parts of every wind turbine that must work in synchronisation, a number of agencies, organisations and individuals worked with dedication and unity of purpose to achieve this feat in such a short time.

This is not all. Recent data collected by AEDB has revealed that our wind corridors are not only rich in the wind resource, but the solar radiations here are of the highest quality – making this as one of the rare corridors in the world, where both wind and solar projects are viable.

FFC Managing Director Lt General (r) Khalid Naeem Lodhi also spoke on the occasion and said that the company is planning to invest more capital in the power sector and other wind project with the collaboration of China is under construction and soon would be completed.

Earlier, the minister launched the Commemorative Postal Stamp on the inauguration of the first wind power project.

Pakistan is blessed with enormous wind energy potential. Studies indicate that theoretical potential of wind energy in Pakistan is around 346,000 MW, out of which Gharo~Keti Bandar wind corridor solely has a potential of around 50,000 MW. Utilization of this enormous potential of clean, economical and inexhaustible source of energy can play a vital role in fulfilling the future energy demands of the country.

AEDB is facilitating the private sector in developing wind power projects in the country. The 49.5 MW wind power project developed by FFC Energy Ltd is the first among many others, which are at various stages of development. Four other wind power projects being developed by ZorluEnerji (56.4 MW), Three Gorges Pakistan (49.5 MW) and Foundation Wind Energy I and 11 (50 MW each) are under construction. ZorluEnerji has already completed the installation of wind turbines for their project and the project is expected to become operational by end of this month. In addition to this, wind power project of 400-600 MW capacity are expected to achieve Financial Close by end of 2013.

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AEDB is enacted to facilitate the private sector for establishing Renewable Energy projects based on wind, solar, micro-hydel, bio-diesel, biomass, waste to energy, fuel cells, tidal, wave energy etc. AEDB is also vested with the responsibility of formulation of national strategies, policies, plans and programmes for development of alternative and renewable.

The project was bankrolled by fertiliser group Fauji, a subsidiary of the Fauji Foundation industrial conglomerate.

Nordex has signed supply deals for five more wind farms in Pakistan, each comprising 20 of its N100/2500 turbines. Fauji, Gul Ahmed Energy, Metro Power and Yunus Energy are the customers for those projects.

Nordex expects construction at two of those other wind farms, with a combined capacity of 100MW, to start this year.

With a growing power demand and blackouts common, Pakistan is committed to expanding renewable energy, Nordex says.“The fixed feed-in remuneration of around $0.1466 per kWh for a period of 20 years for wind-produced electricity is making the market attractive for investors," it adds.

Nordex initially oversaw the Jhimpir project via its Beijing subsidiary, but has now established a separate local company in the Pakistan capital, Islamabad.

Hitor Group Inc. is pleased to announce it has executed an agreement with Orient Renewable Energy (Ptv) Ltd. relating to the Hitor technologies including a Manufacturing Plant for the fabrication of construction components and systems for housing and International Housing Development Projects.

Hitor will oversee the development, construction, commissioning and operations of a plant for construction components and systems including but not limited to a manufacturing plant for Structural Steel Systems™ or other Hitor technologies. Orient Renewable Energy (Ptv) Ltd. will contribute it's contacts, licenses (as needed), agreements and relational know how and development work to date as well as overall Primary Project Development services in the provision of process development, negotiations with the local Government and approval authorities of and the financing required for the manufacturing plant.

Here's a PakistanToday report on new wind energy investment in Pakistan:

The Board of Directors of the Overseas Private Investment Corporation (OPIC) has approved $ 95 million in financing for a wind power project poised to deliver much-needed electricity to Pakistan. The credit facility will help build a 50-megawatt wind power plant in southeastern Pakistan’s Ghoro-Keti Bandar Wind Corridor designed to generate 133 gigawatt hours of emission-free electricity annually.Using General Electric Wind turbines, the Sapphire Wind Power plant supports a mutual U.S.-Pakistan goal to diversify Pakistan’s power generation beyond reliance on high-priced fuel oil by tapping Pakistan’s vast renewable energy potential, said OPIC, which is the U.S. Government’s development finance institution.“The provision of clean and reliable electricity is an essential building block of any economy,” said OPIC President and CEO Elizabeth L. Littlefield.A recent study funded by the National Renewable Energy Laboratory and the U.S. Agency for International Development estimates that Pakistan possesses 132,000 MW of potential installed wind capacity – virtually equal to the world’s entire installed wind capacity for 2010.

Pakistan encapsulates the renewable energy challenge faced by many developing and emerging countries. Despite abundant renewable resources – including solar, wind, hydropower and biomass – very little of this potential has been utilized. At the same time, about a third of the country’s people do not have access to electricity.

Pakistan has ambitious plans for solar and wind projects, and has developed a comprehensive policy framework for renewable energy, but projects on the ground remain few and far between.

What accounts for this gap? “One major reason is a lack of credible resource data,” says Arif Alauddin, the former CEO of Pakistan’s Alternative Energy Development Board, and now Managing Director of the National Energy Conservation Center.

While high-level solar and wind maps are widely available, these do not contain the granular data required by governments to understand the country’s full resource potential and needed by the private sector to identify specific sites for development.

To address this challenge, Pakistan and eight other countries are joining with the World Bank in a new Renewable Energy Mapping Program to carry out mapping of renewable energy resources that will for the first time produce rich, nationwide data for each country. Coordinated and financed by the World Bank’s Energy Sector Management Assistance Program (ESMAP), the initiative will cover mapping of solar, wind, biomass, and small hydropower potential.

“The importance of this resource mapping [for Pakistan] cannot be overstated,” says Arif Alauddin. “The country’s energy shortage is unprecedented, tariffs are going up, and petroleum imports are eating up a large share of export earnings. There is a need to shift to domestic renewable energy resources.”----------We expect this initiative to be highly catalytic,” said Oliver Knight, Senior Energy Specialist at ESMAP. “Resource mapping is a crucial step in providing the resource and policy certainty that commercial developers need to scale up investment in renewables. In addition, government authorities will be better informed in negotiations on specific projects, and donors will have a clearer sense of the data and capacity needs, as well as the renewable potential, of clients.”

As well as mapping, the program will support a wide variety of activities, including consolidation and validation of existing datasets, work to standardize resource assessment methodologies, and capacity development of local institutions and experts. An open data repository will be developed to facilitate free and open access to the data, and the geospatial outputs (GIS layers) will be made available via a new web portal. The outputs will also be made available to the Global Atlas for Solar and Wind that has been developed by the International Renewable Energy Agency (IRENA) and the Clean Energy Ministerial.

The program is one of a number of initiatives the World Bank Group is undertaking in support of the global Sustainable Energy for All (SE4ALL) campaign. One goal of the initative is to double to the share of renewable power in the global energy mix from 18 percent to 36 percent by 2030. According to the SE4ALL Global Tracking Framework report produced by a multi-agency team led by the World Bank and released on May 28, renewable energy (excluding biomass) made up only 1.6 percent of total final energy consumption in Sub-Saharan Africa, and 1.8 percent in Southern Asia, as of 2010.

“The resource mapping initiative will open a floodgate of possibilities for both large and smaller investors, as well as for consumers who desperately need new energy options,” Arif Alauddin said.

German turbine manufacturer Nordex has gained a firm 50MW follow-up order in Pakistan from the Fauji Foundation and the Malay infrastructure fund Cap Asia.The order is for 20 of the company’s N100/2500 turbines to be installed at the FWEL I project in the province of Sindh in 2014.

The company had already delivered turbines for two other wind farms in the same province – the FFCEL and FWEL II projects.

Nordex says the close proximity of all three projects – at about 80km from Karachi – will enable it to leverage synergies such as centralising the provision of services under the warranty, and operation and maintenance contracts.

Power generation from biomass gasification could help meet a significant portion of Pakistan’s industrial energy needs, Federal Minister of Information, Senator Pervez Rasheed, said on Friday.Rasheed was speaking as the chief guest at the inception workshop of a new project for promotion of biomass gasification technology by the United Nations Industrial Development Organisation (Unido).Biomass gasification is a process to generate cheap energy by burning organic material such as organic waste and wood among other things.Rasheed said Unido’s efforts at developing a biomass project have immense importance for Pakistan. He said biomass gasification offers the most convincing alternate energy system for industries.The project is likely to result in improved energy security and economic growth in the country, the minister said.The four-year “Promoting Sustainable Energy Production and Use from Biomass in Pakistan” project is funded by $1.82 million from the Global Environment Facility – an international institution that provides grants for environment-related projects.Another $5.3 million will be provided by Unido, Small and Medium Enterprises Development Authority (Smeda), Pakistan Poverty Alleviation Fund (PPAF), Sindh Agriculture and Forestry Workers Coordinating Organisation (SAFWCO), Centre for Energy Systems at the National University of Sciences and Technology (CES-NUST) and other entities from the Pakistani private sector.The project’s finances will be used to develop three separate “demonstration projects” in Kamoke and Jhelum in Punjab, and Thatta in Sindh, which will generate overall 4.3 Megawatts (MW) from biomass gasification technology, said Muhammad Ahmad, the National Project Manager for the project.The demonstration projects include a 3 MW rice husk gasification power plant in Kamoke, a 1 MW Wood Residue gasification power plant in Jehlum and a 0.3 MW electricity provision to a village near Gharo in Thatta.Ahmad said the project aims to promote biomass gasification in Pakistan as a means to decrease the country’s demand and supply gap in the power sector.“We want to build the capacity of local manufacturers so they could produce gasification technologies for electricity generation,” he said. “The demonstration projects could help us tell investors that power generation through biomass gasification is economically viable and can be replicated.”Small and medium enterprises (SMEs) and other industries could use biomass gasification to generate their own electricity and this would help industries avoid the negative impact of the power crisis, he said.

General Electric will supply 33 1.5MW turbines with 82.5-meter rotors for the 50MW Sapphire project in Pakistan, its first wind equipment deal in the Asian nation.GE will also provide 10 years of operations and maintenance services as part of the contract.

The vendor notes that although this is GE’s first wind energy project with developer HydroChina and Sapphire, that Sapphire has selected the company’s power generation equipment including engines and gas turbines for more than 18 years in the region.

“We chose GE wind turbines because they are a well-proven technology and widely installed around the world, especially in tropical climates like that of Pakistan,” says Nadeem Abdullah, owner of the Sapphire Wind Power farm. “GE has been instrumental in supporting Sapphire to achieve financial closure with OPIC.”

OPIC is the US government’s development finance Institution, which provides capital for infrastructure projects that align with US foreign policy goals. OPIC’s funding will assist in the development of the wind farm.

The US Agency for International Development and the National Renewable Energy Laboratory estimate Pakistan has more than 132GW of wind energy capacity. The country’s electricity demand is increasing 4% per year.

“Pakistan has huge potential for wind energy, and is a great example of a country where wind can be competitive with other generation technologies,” says Anne McEntee, chief executive of GE’s renewable energy business.

Global Renewable Energy Mapping Program Gets Underway in Pakistan with First Solar Measurement Station

The first of nine automated solar measuring stations in Pakistan was inaugurated at the Quaid-e-Azam Solar Park in Bahawalpur in October 2014The nine stations will transmit daily reports on 10 minute average values for solar radiation levels, temperature, air pressure and wind speed, with the data made publicly availableInstallation will soon be followed by 15 wind measurement stations in Pakistan, and similar measurement campaigns in eleven other countries

Pakistan has tremendous potential for harnessing wind, solar, biomass and other renewable energy resources to help reduce power cuts and improve access to modern energy services. But the country lacks the high quality resource data at a national scale that is needed to take full advantage of these sources of clean energy.

For the past year, the World Bank and Pakistan’s Alternative Energy Development Board have been working together to map renewable energy resources across the entire country. The project, supported by the World Bank’s Energy Sector Management Assistance Program (ESMAP), will measure Pakistan’s potential for wind, solar and biomass energy by using ground-based data collection, GIS analysis, and geospatial planning. It is part of a broader Renewable Energy Resource Mapping initiative covering 12 countries.

Concluding the first phase of the project, initial maps of solar and wind potential for Pakistan were presented to the government and other stakeholders at an October 15 workshop in Islamabad. The result of months of computer-intensive modeling, these maps represent a significant improvement over previous efforts due to computational advances over the last decade. The maps are based on satellite data and global atmospheric models covering a 10 year period, and can be used to estimate the likely solar or wind potential at any point in the country.

However, to get to the level of confidence required by commercial developers, these modeling results must be compared against actual solar and wind measurements taken from ground-based stations.

A major part of the ESMAP renewable energy mapping initiative is to collect ground-based measurement data for a period of up to two years. This data is then used to improve the models, leading to the production of solar and wind atlases with a margin of error of as low as 5 percent. These in turn can be used by governments to set tariffs and guide the strategic development of renewable energy, and by commercial developers to carry out feasibility studies, leading to development of solar and wind power plants.

KETI BUNDER, Pakistan (Thomson Reuters Foundation) - For fisherman Sammar Dablo, it was as if "the seawater stole our homes" when land erosion forced his village to relocate further inland on Pakistan's south coast.

The people of the fan-shaped Indus Delta, where the Indus River meets the Arabian Sea, are among the poorest of the poor, mostly illiterate and living in wooden shacks on the mud flats.

As seawater has washed into the delta, destroying thousands of hectares of fertile land and contaminating underground water channels, they survive by fishing in the saltwater creeks where dolphins are a common sight.

Dablo’s family and 41 other households migrated three years ago to Phirt village in Keti Bunder Union Council, some 2 km from their old village on a mud flat at the delta's mouth.

"Here we are on higher land and located further inland so the waves and the winds are not as strong - we had no choice but to move as our homes were being submerged," Dablo explained.

---------MANGROVE RESTORATION

The delta area is ranked among the world’s 40 most biologically-rich eco-regions. Since 2011, WWF-Pakistan has promoted rehabilitation of its degraded mangrove forests, aiming to minimise sea encroachment.

Pakistan was once considered one of the world’s most important mangrove countries. But the forests deteriorated under pressure from seawater intrusion, lack of fresh water in the Indus Delta, cutting of trees for fuel and camel grazing.

WWF-Pakistan has provided mangrove seeds and saplings to local communities to plant. Satellite images show mangrove forest cover is now increasing thanks to this activity.

In the last 10 years, awareness of the problem has grown immensely, according to WWF-Pakistan.

One of the first things Dablo did after building his new home was to plant mangroves around it to “stop the soil erosion and protect the shore”.

Besides providing a buffer against floods and coastal erosion, mangroves offer a habitat for fish, oysters, shrimps and crabs. The villagers can benefit by selling the crustaceans in the mega-city of Karachi, some three hours’ drive away.

Vestas has signed two memorandum of understandings (MOUs) with the Sindh and Punjab regional governments to develop up to 1.3GW of wind projects.

The first MOU will see Vestas assist the Sindh government in initially developing 100MW of projects, with a potential to expand up to 300MW.Vestas vice president of sales in Asia Pacific, Gerard Carew, said the MoU will help the country overcome its "energy crisis", adding the Sindh province had excellent wind resources.The Danish embassy in Pakistan announced the second MOU with the Punjabi government. It follows an analysis by Vestas, which found potential for between 800MW and 1GW across four possible wind sites.According to Windpower Intelligence, the research and data division of Windpower Monthly, Pakistan has just over 100MW of wind capacity installed. The country installed no new capacity in 2014.All of Pakistan's current online capacity can be found in the Sindh province, including the 50.4MW Nooriabad II project. The site is powered by 28 Vestas V90-1.8MW turbines.

Pakistan does, however, have a healthy pipeline and in October US turbine manufacturer GE secured its first contract there for a 49.5MW project.

The private sector arm of the French Development Agency will infuse USD 20 million (EUR 18.8m) into Gul Ahmed Wind Power Ltd, which is developing a 50-MW wind project in Pakistan’s Sindh province.

Finance institution Proparco’s investment in this independent power producer will support the construction and operation of the plant that will be located to the northeast of Karachi. The move is part of attempts to back renewable power generation and drive economic development across the country, according to a Tuesday press release.

“This project will contribute not only to reducing pressure on the country’s power grid, but also to encouraging the development of strong, reliable and clean energy in the region,” said Claude Periou, CEO of Proparco. He went on to say that this is the entity’s third investment in Pakistan’s energy sector.

The planned wind farm will help the country reduce the use of polluting and expensive fossil fuels and will create 50 long-term job positions.

The China Three Gorges Corporation has official wrapped up construction work on its first wind farm in Pakistan, as part of vigorous efforts by the state-owned renewable energy giant to expand into the South Asian market.

Total investment for the Three Gorges wind farm in Pakistan was $130 million, for the creation of total installed capacity of 49.5 MW. The project has taken just over two years to complete, with work commencing at the end of January in 2013 and initial commercial operation beginning on November 25, 2014.

Three Gorges Corporation has touted the project as the first wind farm that a Chinese company has funded and built in Pakistan, as well as the only wind farm in Pakistan to be completed ahead of schedule.

At a completion ceremony held on March 11, China Three Gorges chairman Lu Chun said that Pakistan was a key strategic investment market for the company due to its close strategic ties with China, as well as its abundance of clean energy resources and strong market demand.

In order to foster its expansion into the Pakistani market, China Three Gorges has established China Three Gorges South Asia Investment Limited (CSAIL) an investment holding company in Pakistan that aspires to become the country’s largest renewable energy company.

The company has over 2 GW of solar, wind, and hydropower projects in the pipeline, with key projects that have already entered the construction phase including two hydropower plants with expected capacities of 720 MW and 1.1 GW respectively.

CSAIL has already obtained the support of some heavyweight backers, including the World Bank’s International Finance Corporation, which has acquired a 15% equity stake in the company.

China’s $40 billion Silk Road infrastructure fund, whose establishment was announced by Beijing in November of last year, has also expressed strong interest in either investing in or cooperating with CSAIL in the South Asian market.

The main functions of NTDCL are categorized as central power purchasing agency, system operator, transmission network operator, contract registrar and power exchange administrator for the energy portfolio of Pakistan.

As a Central Power Purchasing Agency (CPPA), the utility works on procurement of power from GENCOs, Hydel & IPPs on behalf of Distribution Companies (DISCOS) for delivery through 500 kV, 220 kV and 132kV Network.

In Pakistan, first wind power generation plant of 50 MW was inaugurated in December 2012 and started full production in 2013. The wind power potential in Pakistan that has been identified in Sindh and Balochistan is more than 50,000 MW while Punjab has potential of producing almost 1,000 MW.

The United States and Pakistan on Wednesday announced to facilitate and accelerate private investment in clean energy projects in Pakistan.

Under this initiative, the US government will work with Pakistan to advance reforms that will allow the US, Pakistani, and international private sector developers and investors to add at least 3,000 megawatts of clean power to Pakistan’s national grid within the next 3-5 years.

“This clean energy initiative will help address Pakistan’s energy challenges,” said US State Department’s Special Envoy for Energy Amos Hochstein during the second US-Pakistan Energy Working Group under the broader US-Pakistan Strategic Dialogue framework. “It is a partnership to help alleviate Pakistan’s energy challenges based on a set of goals shared by Pakistan, the United States, multilateral banks, donors, and the private sector.”

Special Envoy Hochstein, Deputy Chief of Mission Williams and a delegation from Washington met Shahid Khaqan Abbasi, Khawaja Asif and a range of Pakistani government officials to discuss measures to increase cooperation in the clean energy sector. Energy demand in Pakistan is expected to double by 2020. Addressing this challenge will require significant action by the government to institute reforms that create space for private sector support, as well as the support of many countries and institutions.

To advance the goals of this common initiative, the US and Pakistani officials discussed steps to: strengthen regulatory institutions and develop market-based rules to attract private investment; develop an investment strategy for expanding the role of clean energy systems; expand transmission capacity for clean energy projects; and mobilise loans, grants, technical assistance and guarantees needed to manage and reduce private sector risks and leverage private capital into clean power projects.

Helping the energy sector become more market-based is one of the best alternatives to ending the current crisis and ensuring that future demand can be met. Clean power investments in hydroelectric, wind, solar, biomass, and natural gas, combined with an expanded effort to improve the efficiency at all parts of the energy sector, will reduce Pakistan’s dependence on foreign fuel sources, help address climate change, improve Pakistan’s energy security, and promote innovation and growth.

This initiative marks a new phase of US energy sector assistance to Pakistan, which since 2010 has contributed over 1,500 megawatts of electricity to Pakistan’s national grid by refurbishing existing hydropower and thermal generation facilities, completing hydropower projects, and improving the operation and efficiency of Pakistan’s transmission and distribution systems. inp

ISLAMABAD: The United States and Pakistan on Wednesday announced to facilitate and accelerate private investment in clean energy projects in Pakistan.

Under this initiative, the US government will work with Pakistan to advance reforms that will allow the US, Pakistani, and international private sector developers and investors to add at least 3,000 megawatts of clean power to Pakistan’s national grid within the next 3-5 years.

“This clean energy initiative will help address Pakistan’s energy challenges,” said US State Department’s Special Envoy for Energy Amos Hochstein during the second US-Pakistan Energy Working Group under the broader US-Pakistan Strategic Dialogue framework. “It is a partnership to help alleviate Pakistan’s energy challenges based on a set of goals shared by Pakistan, the United States, multilateral banks, donors, and the private sector.”

Pakistan plans to commission nine wind power projects with a combined capacity of 479 megawatt under deals signed since Prime Minister Nawaz Sharif’s government took office two years ago, an official said.Joudat Ayaz, director general of finance in Pakistan’s Alternative Energy Development Board, said the projects are are worth $1.1 billion and are located in Sindh province stretching from Karachi up the Indus River.Lenders such as the International Finance Corp., Asian Development Bank, Overseas Private Investment Corp. and Habib Bank Ltd. are among those financing the projects.The Alternative Energy Board is in talks for projects totaling another 774 megawatts for wind and 711 megawatts from solar installations. The country currently has 255 megawatt of commissioned wind farms.The board estimates that the power-starved south Asian country can produce as much as 50,000 megawatts from wind projects. The country currently has a power generation capacity of 22,000 megawatts, though shortages are leading to blackouts that disrupt homes and businesses.“Power shortfall is causing about $2 billion loss per year to the economy,” Ayaz said in an interview.Pakistan’s power regulator Nepra has approved an average tariff of 14.5 U.S. cents per unit of solar power and 10.5 U.S. cents per unit of wind energy.

FACT SHEET: #US-#Pakistan Clean Energy Partnership. #renewables http://go.wh.gov/TxfXyB Under the U.S.-Pakistan Clean Energy Partnership, the United States will work with the Government of Pakistan to advance energy sector reforms, improve the investment framework, and make targeted investments that will enable U.S., Pakistani, and international private sector developers to add at least 3,000 megawatts (MW) of clean power generation infrastructure to Pakistan’s national electricity system, benefitting 30 million Pakistanis.

To advance the goals of the Clean Energy Partnership, the U.S. and Pakistan will work to:

Strengthen regulatory institutions and develop market-based rules that attract increased local and international private investment, and continue to support Pakistan’s necessary reforms in the energy sector, such as improvement and privatization of the distribution system;Develop an investment plan for expanding the role of clean energy systems;Expand transmission capacity for clean energy projects through on-budget U.S. assistance to selected transmission infrastructure; and,Mobilize loans, grants, technical assistance, guarantees, and public-private partnerships needed to manage and reduce investor risks and leverage private capital into clean power generation projects.Areas of cooperation envisioned under the U.S.-Pakistan Clean Energy Partnership are:

Catalyze private-sector energy investments: The United States will provide technical assistance, risk guarantees, and targeted investments in supporting energy infrastructure (e.g., transmission lines) to enhance Government of Pakistan (GOP) efforts to attract private funding. This assistance will: (1) increase private-sector led generation capacity, (2) expand transmission system capacity, (3) enhance distribution system profitability, and (4) improve power sector governance by supporting GOP power sector reform efforts. USAID will also work closely with the Overseas Private Investment Corporation (OPIC) and multilateral development banks to bring additional financial resources to the table in support of enhanced private sector investment. In September 2015, the OPIC Board of Directors approved a loan guaranty of up to $250 million for transmission and distribution infrastructure improvements at K-Electric, Karachi’s power distribution company. OPIC has also executed loan agreements facilitating U.S. private sector investment in five wind projects amounting to 250 MW of generating capacity in Sindh province.Highlight Pakistan’s energy opportunities: The Pakistani and the U.S. governments will hold a Clean Energy Business Opportunities Conference in December 2015, which will highlight the U.S.-Pakistan Clean Energy Partnership and private sector investment opportunities in Pakistan’s natural gas, wind, solar, hydro, geothermal, and other clean energy projects.

The Pakistani province of Sindh is expected to soon become home to 350 MW of operational wind power capacity.

An official of the Alternative Energy Development Board (AEDB) told the Associated Press of Pakistan (APP) on Sunday that seven 50-MW wind parks along the coastline should be completed by next month. The projects include developments by Yunus Energy, Metro Power Company, Gul Wind Energy and Master Energy.

Meanwhile, Sachal Energy Development Pvt Ltd (SEDL) is building another 50-MW wind farm in Jhimpir, Sindh. It is expected to be finalised by mid-2017, the official has added.

All of the projects are financed by the private sector, he said as quoted by the news agency.

Abraaj Group is to acquire a majority stake in a clean energy company in Pakistan, its second investment in the country this year.

The Dubai company is acquiring the stake in Jhimpir Power from Burj Capital.

It is developing a 50 megawatt wind power project in Sindh, south-east Pakistan, which is expected to be completed early next year.

The area, known as the Jhimpir wind corridor, is about 120 kilometres east of Karachi. It already has more than 550MW of wind farms in operation and more than 1 gigawatt is under construction or planned.

Pakistan has been working on establishing investor-friendly policies to attract investment into the renewables sector.

The country is targeting a 6 per cent mix of renewables in its total power mix by 2030. While this may seem small compared with the UAE’s goals of clean energy sources making up 30 per cent of energy generated by 2030, Pakistan needs far more infrastructure expansion before capacity can be added.

"With a shortage of over 6,000MW and rising power consumption in Pakistan today, we are excited by the sheer size of the clean energy infrastructure opportunity, enabling government policies and the potential of the Jhimpir wind corridor," said Sev Vettivetpillai, the managing partner and head of the Abraaj thematic fund.

This is not Abraaj’s first foray into the country’s energy sector. The investment firm sold its stake in power utility K-Electric for US$1.7 billion in October, representing one of the largest private transactions in Pakistan.

"Having invested across the energy value chain in growth markets, including the power sector in Pakistan, we look forward to growing our renewable footprint and consolidating our presence in the sector," Mr Vettivetpillai said.

The Dubai company has invested across the energy value chain to the tune of $1bn in 10 investments in growth markets.

Saad Zaman, an Abraaj partner, said that this was just continuing on the success of the company’s first wind project in Pakistan. "The attractive renewable power policy framework implemented by the government has created a strong impetus for the private sector to invest in clean energy," he said.

Abraaj said this month that it had acquired a stake in Islamabad Diagnostics Centre.

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I am the Founder and President of PakAlumni Worldwide, a global social network for Pakistanis, South Asians and their friends. I also served as Chairman of the NEDians Convention 2007. In addition to being a South Asia watcher, an investor, business consultant and avid follower of the world financial markets, I have more than 25 years experience in the hi-tech industry. I have been on the faculties of Rutgers University and NED Engineering University and cofounded two high-tech startups, Cautella, Inc. and DynArray Corp and managed multi-million dollar P&Ls. I am a pioneer of the PC and mobile businesses and I have held senior management positions in hardware and software development of Intel’s microprocessor product line from 8086 to Pentium processors. My experience includes senior roles in marketing, engineering and business management. I was recognized as “Person of the Year” by PC Magazine for my contribution to 80386 program. I have an MS degree in Electrical engineering from the New Jersey Institute of Technology.
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